Recognition of Non-Operating Income and Expenses
The consolidated group of W-SCOPE Corporation (consolidated subsidiaries and equity-method affiliate W-SCOPE CHUNGJU PLANT CO., LTD. (WCP))
The foreign exchange gain resulted from remeasuring the foreign-currency-denominated receivables and payables of consolidated subsidiaries at the exchange rate prevailing at the end of June 2026. Government grant income consisted of research and development-related subsidies received by consolidated subsidiaries. Interest expenses were interest on borrowings by consolidated subsidiaries from financial institutions. Equity-method investment losses were based primarily on WCP's financial results report.
Non-operating income: foreign exchange gains of ¥42 million and government grant income of ¥84 million. Non-operating expenses: interest expenses of ¥146 million and equity-method investment losses of ¥1,694 million (including a ¥200 million valuation loss on convertible bonds issued by WCP)
Second quarter (interim period) of the fiscal year ending January 2027 (1 February 2026 to 31 July 2026)
Regarding the impact of the recognition of these non-operating income and expenses on business performance, the disclosure only states that readers should refer to the “Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending January 2027 [Japanese GAAP]” released today (10 September 2026); it does not state whether the forecasts were revised or provide revised figures in the body of the disclosure.
Refer to the “Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending January 2027 [Japanese GAAP]” released today (10 September 2026).
| Item | Details |
|---|---|
| Event name | Recognition of Non-Operating Income and Expenses |
| Date of occurrence | 31 July 2026 (end of the second quarter (interim period) of the fiscal year ending January 2027; the exchange-rate valuation date was the end of June 2026) |
| Subject Entity | The consolidated group of W-SCOPE Corporation (consolidated subsidiaries and equity-method affiliate W-SCOPE CHUNGJU PLANT CO., LTD. (WCP)) |
| Cause | The foreign exchange gain resulted from remeasuring the foreign-currency-denominated receivables and payables of consolidated subsidiaries at the exchange rate prevailing at the end of June 2026. Government grant income consisted of research and development-related subsidies received by consolidated subsidiaries. Interest expenses were interest on borrowings by consolidated subsidiaries from financial institutions. Equity-method investment losses were based primarily on WCP's financial results report. |
| Amount of Impact on Business Performance | Non-operating income: foreign exchange gains of ¥42 million and government grant income of ¥84 million. Non-operating expenses: interest expenses of ¥146 million and equity-method investment losses of ¥1,694 million (including a ¥200 million valuation loss on convertible bonds issued by WCP) |
| Accounting period in which recognized | Second quarter (interim period) of the fiscal year ending January 2027 (1 February 2026 to 31 July 2026) |
| Impact on Earnings Forecast | Regarding the impact of the recognition of these non-operating income and expenses on business performance, the disclosure only states that readers should refer to the “Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending January 2027 [Japanese GAAP]” released today (10 September 2026); it does not state whether the forecasts were revised or provide revised figures in the body of the disclosure. |
| Outlook | Refer to the “Consolidated Financial Results for the Second Quarter of the Fiscal Year Ending January 2027 [Japanese GAAP]” released today (10 September 2026). |
Items this document does not state (17)
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.The foreign exchange gain was primarily a valuation gain arising from the remeasurement, at the exchange rate prevailing at the end of the second quarter (end of June 2026), of the foreign-currency-denominated receivables and payables of the group at its consolidated subsidiaries. Government grant income consisted mainly of research and development-related subsidies received by consolidated subsidiaries. Interest expenses were interest on borrowings by consolidated subsidiaries from financial institutions. Equity-method investment losses were based primarily on the financial results reported by W-SCOPE CHUNGJU PLANT CO., LTD. (WCP).